Minister of Trade and Industry el-Sayed
ANOTHER OIL GLUT
Bier Qassem, June 13, 4816: At a meeting of Trade and Industry Ministry managers and oil executives in Al’Buqiyaa at the headquarters of the ship building firm, Majatran Fishing of Al’baharia, Trade and Industry Minister Hakim el-Sayed was asked if another oil glut was likely. He responded:
Of course there will be another oil glut. Some idiot will think he or she is smarter than everybody else and create it accidentally thinking it is winning. But you really mean will there be one soon; there is certainly no need for it.
The last one was in fact not caused by major oil producers at all but by one power that created a worldwide down turn which many attributed to two Majatran oil producers entering the market. Of the five most important oil producers, they were the first two to pull back. So it goes.
You probably want to know what we are doing. Petroleum Development of Badara, the government owned oil and gas producer is in fact mainly selling domestically and with very little crude oil going to the international market.
The government regularly confers with Qat Oil Services, our most important private extractor of oil and gas, to see what it is doing and the thinking governing its activity. Our conclusion is that Jumhuriat al-Badara is producing just less than we were after pulling back to help reduce the last threat of oil glut.
So we are doing our part to not create overproduction.